Thursday, February 10, 2011

Leasing Cost Analysis

To give an example of how a leasing can help businesses with their cash flow as well as the added benefit of tax deductions, see the Analysis below.


1)  Equipment Cost: $15,000.00
2)  Monthly Lease Payment Equipment Cost:  $375.00
3)  Annual Gross Cost ($357.00 x 12mo): $5,625.00
4)  Tax Deduction (Estimated 40% of Annual Gross Cost):  $2,250
5)  Net Annual Cost (Annual Gross Cost minus Tax Deductable Amount):  $3375.00
6)  Net Cost per Month (Net Annual divided by 12):  $281.25
7) Net Cost Per Day (Net Cost Per Month divided by 22*):  $12.78
8) Net Cost Per Hour (Net Cost Per Day divided by 8**):  $1.59


*22 is average business days in a month (you can adjust for your schedule)
**8 hours, based on the average business schedule

No comments:

Post a Comment